Double down on data

Recent years have demonstrated how fragile supply chains can be when faced with unexpected challenges. All hope isn’t lost, however, as technology can save the day for supply chain managers.

A study from Descartes Systems Group – a global provider of on-demand, software-as-a-service (SaaS) solutions that focus on improving the productivity, security, and sustainability of logistics-intensive businesses – dived into “What Companies are Doing to Tackle Escalating Global Supply Chain Challenges”.

Descartes offers its services to the South African market through the Super Group subsidiary VSC Solutions. Its study, conducted with SAPIO Research, surveyed 978 supply chain intelligence leaders in key trading nations across Europe, North and South America, and Asia-Pacific. It found that 74% of surveyed supply chain and logistics leaders view technology as fundamental or highly important to their organisation’s growth strategy in the face of rising global trade challenges such as tariffs and trade barriers, supply chain disruptions, and geopolitical instability.

This figure jumps to 88% for companies expecting more than 15% growth over the next two years. In addition, 59% of the leaders consider technology as extremely or very important to provide a competitive advantage in international trade. 

“For companies in diverse industries, global trade has become much more complex, with many new challenges to traditional business operations,” says Jackson Wood, director of industry strategy at Descartes. “As businesses contend with tariffs and trade barriers, geopolitical instability, supply chain disruptions, and compliance requirements, technology tools can help them build greater agility and resilience into their supply chains to compete more effectively.” 

One’s mind can’t help but leap to artificial intelligence (AI) and machine learning when supply chain management technologies are mentioned, but there are many more solutions that build on these developments. A stellar example is highlighted by Kevin O’Marah, co-founder of Zero100 – a community research platform working towards zero carbon, 100% digital supply chains – in his Forbes article: “Supply Chain Drones: Novelty or News?”

He believes that delivery by drone is a red herring. “Drone delivery is legitimate, and recent FAA (Federal Aviation Administration) approval for flights without a pilot line-of-sight opens the door to more expansion. However, in practical terms, it looks likely to remain a niche application rather than a breakthrough,” he explains. “High-value, lightweight, single-unit shipments like medical supplies or spare parts may make economic sense. Plus, individual consumers will no doubt have the occasional need for 30-minute delivery by air at a premium price, but serious volumes are not on the cards.”

Instead, O’Marah believes that “eye in the sky data is the killer app for drones”, adding: “With drones, everything from inspecting pipelines to scouting crop health, taking warehouse inventories, and even spotting sharks off Bondi Beach in Sydney, is much easier. Companies like ExxonMobil, Land O’Lakes, and Maersk are driving innovation with these applications in a market that is projected to grow 26% per year through to 2033.

“The underlying technology trends supporting this growth are less about aeronautics or material science and more a product of AI. Visual images are only part of the story, with thermal detection, geolocation tagging, 3D imaging, and volumetric calculations all adding depth to the data retrievable safely and cheaply with aerial drones. Each of these data layers has diagnostic and planning value for operations like yard management, plant maintenance, infrastructure design, and demand planning,” he continues.

Another terrific technology is featured on the blog of Bulgaria-based Transmetrics, an AI platform developed exclusively for logistics. In its piece “Top 10 Supply Chain and Logistics Technology Trends for 2025”, Transmetrics says that scenario planning will be a game changer for managing uncertainties in the supply chain.

“It employs digital twin technology to simulate processes, anticipate issues, and propose solutions. For example, climate change-related disruptions affecting the shipping of goods, such as (last year’s) drought in the Panama Canal, can be navigated through scenario planning. The technology can simulate the effect of such events on the transport networks by analysing historical data, and propose alternative routes or transport modes to avoid disruptions.”

It notes that a major prerequisite for establishing a reliable scenario simulation is having centralised data management, which represents a single and accurate version of the truth to create visibility. “Data is the most important asset of any organisation in the 21^st century, and the way you manage and control (it) should be a priority for your logistics business,” Transmetrics emphasises.

“Data stored in different silos and across many disconnected TMS/ERP systems is fragmented and does not represent a single version of the truth. In a complex logistics environment, it becomes impossible to make informed and data-driven decisions without having access to full visibility across your operations,” adds the AI platform.

“Leveraging data lakes and data warehouses to centralise your data is a straightforward way of getting it under control since it can eliminate the silos, future-proof your business for scalability, and build a foundation for advanced analytics tools.”

Transmetrics says it is important to assess the current state of your business as well as the resources you can spend on centralising the data management: “One thing is clear – if your organisation wants to move forward with logistics technology implementations, a strategic approach towards data management and data quality is essential.” 

So, while many do realise that technology is important for stellar supply chain management, it would be wise to pay close attention to the greatest 21^st century asset in your organisation.